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What is Asda called in America?

Published in Retail Subsidiaries 2 mins read

Asda, the popular British supermarket chain, is known as Walmart in America. While they operate under different brand names, Asda has been a subsidiary of the American retail giant Walmart since 1999.

The Connection Between Asda and Walmart

Asda operates as a leading supermarket chain across the United Kingdom, offering groceries, clothing, general merchandise, and financial services. Its American counterpart, Walmart, is a multinational retail corporation that runs a chain of hypermarkets, discount department stores, and grocery stores.

The relationship is one of ownership: Walmart, founded in the US in 1962, acquired Asda in 1999. It's interesting to note the history: Asda was founded earlier, in the UK in 1949, making it an established brand before Walmart even began its operations across the Atlantic.

Why the Different Names?

Even after the acquisition, Walmart chose to retain the "Asda" brand name in the UK for several strategic reasons:

  • Brand Recognition: Asda was already a well-established and trusted brand with a strong customer base in the UK. Changing the name to Walmart might have alienated existing customers and diluted its market presence.
  • Market Adaptation: Retail environments and consumer preferences can vary significantly between countries. Keeping the Asda name allowed the stores to maintain their local identity and adapt to the specific nuances of the British market.
  • Business Model: While both are large retailers, their specific product assortments, store layouts, and pricing strategies might differ to cater to their respective audiences.

Asda vs. Walmart: A Comparison

While united under the same corporate umbrella, Asda and Walmart operate with distinct identities shaped by their respective markets.

Feature Asda (UK) Walmart (US)
Origin UK, founded 1949 US, founded 1962
Parent Company Walmart N/A (Parent company of Asda)
Primary Market United Kingdom United States, Canada, Mexico, and other regions
Store Formats Superstores, Supermarkets, Living, Express Supercenters, Discount Stores, Neighborhood Markets
Brand Identity Value-focused, distinctly British "Everyday Low Prices," broader global presence

In essence, when you visit an Asda store in the UK, you are experiencing Walmart's presence in that market, but under a familiar and localized brand.